Proposed Provision: Progressive price indexing (40th percentile) of PIA factors for individuals newly eligible for OASI benefits in 2024 through 2061: Create a new bend point at the 40th percentile of the AIME distribution of newly retired workers. Maintain current-law benefits for earners at the 40th percentile and below. Reduce the 32 and 15 percent factors above the 40th percentile such that the initial benefit for a worker with AIME equal to the taxable maximum grows by inflation rather than the growth in the SSA average wage index. Disabled workers are: (a) not affected prior to normal retirement age; and (b) subject to a proportional reduction in benefits, based on the worker's years of disability, upon conversion to retired-worker beneficiary status. Young survivors (children of deceased workers and surviving spouses with a child in care) are not affected.

OASDI Cost Rates and Income Rates
(as a percentage of taxable payroll)

  Income Rates Cost Rates
Year Present Law Provision Present Law Provision
201612.912.914.014.0
201712.912.913.713.7
201813.013.013.913.9
201913.013.014.014.0
202013.013.014.114.1
202113.013.014.314.3
202213.013.014.514.5
202313.113.114.814.8
202413.113.115.015.0
202513.113.115.315.3
202613.113.115.515.5
202713.113.115.615.6
202813.213.215.815.8
202913.213.216.015.9
203013.213.216.116.1
203113.213.216.216.2
203213.213.216.316.3
203313.213.216.416.3
203413.213.216.516.3
203513.213.216.516.3
203613.213.216.616.4
203713.213.216.616.4
203813.213.216.616.3
203913.213.216.616.3
204013.213.216.616.2
204113.213.216.616.2
204213.213.216.516.1
204313.213.216.516.0
204413.213.216.515.9
204513.213.216.415.8
204613.213.216.415.8
204713.213.216.415.7
204813.213.216.415.6
204913.213.216.415.5
205013.213.216.415.5
205113.213.216.415.4
205213.213.216.415.3
205313.213.216.415.3
205413.213.216.415.3
205513.213.216.515.2
205613.213.216.515.2
205713.313.216.615.2
205813.313.216.615.2
205913.313.216.715.1
206013.313.216.715.1
206113.313.216.815.1
206213.313.216.815.1
206313.313.216.915.1
206413.313.216.915.1
206513.313.217.015.0
206613.313.217.015.0
206713.313.217.115.0
206813.313.217.115.0
206913.313.217.215.0
207013.313.217.215.0
207113.313.217.315.0
207213.313.217.315.0
207313.313.217.315.0
207413.313.217.415.0
207513.313.217.415.0
207613.313.217.415.0
207713.313.217.414.9
207813.313.217.414.9
207913.313.217.414.9
208013.313.217.414.9
208113.313.217.414.8
208213.313.217.414.8
208313.313.217.414.8
208413.313.217.414.8
208513.313.217.514.8
208613.313.217.514.9
208713.313.217.514.9
208813.313.217.614.9
208913.313.217.614.9
209013.313.217.715.0
209113.313.217.715.0
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